Court upholds removal of site from Moorestown housing plan

George Woolston @gcwoolston

Friday

Oct 11, 2019 at 12:00 PM

In August, Pennrose challenged a judge’s July ruling that approved an amended settlement agreement between the township and Fair Share Housing Center that removed the developer’s 75-unit, 100% affordable housing project from the township’s affordable housing plan.

MOORESTOWN — A Superior Court decision that approved the removal of Philadelphia-based developer Pennrose from the township's affordable housing plan was upheld in appellate court this week.

In August, Pennrose challenged a judge’s July ruling that approved an amended settlement agreement between the township and Fair Share Housing Center that removed the developer’s 75-unit, 100% affordable housing project from the township’s affordable housing plan.

On Monday, a two-judge panel denied the developer’s motion for leave to appeal, which would have halted any action pending an appellate court decision on the merits of the case.

Pennrose had proposed its project at 160 W. Route 38. However, a deed restriction dating back to 1945 effectively prohibits the development of affordable housing on the vacant 10-acre site.

The developer has also been involved in separate litigation to remove the deed restriction from the property. Superior Court Judge Ronald Bookbinder has twice denied motions made by attorneys for Pennrose to remove the deed restriction.

According to court documents, attorneys for Pennrose argued that the amended agreement “unjustifiably” removed its project from the plan, despite a shortfall of 231 units in the township’s proposal to meet the “unmet need portion” of its affordable housing obligation.

The court documents also allege the approved changes took advantage of a vacant land adjustment, when a town’s affordable housing obligation is reduced because of the scarcity of developable land, to reduce its realistic development potential.

At its meeting Monday, the township council introduced an ordinance that, if adopted, would rescind a 2018 ordinance that rezoned the property for affordable housing and return it to the residential/commercial property zone.

The township had originally planned to replace Pennrose’s proposed development with a 76-unit, 100% affordable housing project at the former Miles Technologies site at the intersection of Route 38 and Pleasant Valley Avenue.

However, the proposal was met with backlash from residents who had concerns with its location at the corner of a busy intersection and its exclusion from the township’s residential areas.

The township announced in September it was abandoning the plan at the Miles site and moving forward to acquire a vacant property at the intersection of Harper and East Gate drives for the 75 affordable housing units.

The township council adopted a resolution that approved the purchase the property at 307 Harper Drive from SFA 312 Route 38 LLC for an undisclosed amount at its Sept. 9 meeting.

The 3.2-acre property is currently vacant and located inside the office park next to the Moorestown Mall. The township said the property will likely save taxpayers in excess of $1 million.

Township Manager Thomas Neff said Thursday that negotiations for the property are still in the due diligence period, and a closing has not yet been scheduled.

On Monday, the council also adopted an ordinance that established parameters and eligibility requirements for affordable housing in the township.

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